All Forum Posts by: William C.

I chances are your agent has heard of seller financing before. So you might be assuming it to be harder to sell your idea to the seller through the agent, when in fact there's a good chance he'll do it better than you. An agents job is to get deals done. I think you should have a little more faith I. Your agent, or find one hat is willing to go to bat for you and your terms.

@Account Closed this is NO WAY about lining pockets. It cost me about $100 to get licensed and another $79 every other year. NAR is not required. It's about tracking who is brokering deals. It's about being able to have he consumers look us up to see if we have a license. We have to pass back ground checks and cannot have certain violations on our record or we can't get a license. Mess up once trying to rip off a consumer and our license is gone. How does this at all compare to wholesaling? It's a free for all? Literally 0$ barrier to entry. No back ground checks. No nothing. But that's not even my point.

I wanted to know why they don't get licensed?  And I also wanted to know how they are netting the seller more money by marketing it to fewer people.  That's all I'm looking for.

@Chris K. the LOI said "this document does not constitute a legally binding agreement....". So I don't think it was binding.

I'm going to repeat myself. You should have some sort of representation on your side. Agent or attorney. Asking BP whether or not to for the LLC is just asking for 8 different answers. Not to mention the seller is a broker. So he knows exactly what he's doing, and you and your investors are fending for yourself. I'd be wary like you mentioned if it's been on the market for months at a lower price and it never sold. Smells like a dog.

@Tony DeMario moving forward just be clear with your agent what your criteria is.  If it's too broad the search result could be turning out too many properties a day to make it realistic to call you everytime a new one hits the market.  I have some clients who have 5-10 new homes emailed to them a day.  We agreed that it makes the most sense for them to text me immediately when they see one they like.  Realistically they won't like them all, so it doesn't make sense for me to call on everyone.  Also, give them a little bit of slack.  You don't have to be at the door minutes after it's listed.  If it's priced right and a very good deal I it'll likely become a bidding war anyway.  You should have a few hours to get through it, if not a day or so.  Listing agents want to get offers quickly but they will also allow for buyers agents to put offers together to get sellers More money.  

Maybe you would be better off getting your license?  Then you can set up your own showings, and keep half the commission on each deal.  Otherwise you might not find an agent that's willing to do exactly what you want them to.  

was this ever intended to be used for actually purchasing homes? Or covering down payments? I think people are stretching a little bit by converting this credit into cash, paying 3% for the transaction and then whatever the rate would be on a cash advance. As mentioned above it makes HML look cheap. I do however feel this is perfect for flipping, and paying for the repairs/materials. Or funding business expenses like direct mail, overhead, etc etc so that cash can be driven into deals. Some contractors would accept payment via CC and all materials can be bought with CC so either buy the home through other means or get partners to fund the purchase. So many ways to buy without putting it on a credit card. I cringe just typing that. I heard of a buddy once buying s car on a credit card and it was considered to be one of the dumbest things ever. I guess if it's the only way to make a deal happen and the margins can cover he can fees by all means go for it.

@Selena Walshif it's an investment purchase and you have no intent of living there then the low down payment won't be an option.   The sourcing of your down payment money is just going to depend on what your lender requires.  If it's a commercial lender or portfolio lender or small local bank they may not care where it comes from.   If it's a big bank or a lender that plans to sell it to Fannie and Freddie on the secondary market than they will most likely need to source the funds.  Again you can work around it if you just deposit it 60 days prior to settlement, in a lot of cases.  I don't see why you couldn't use the credit cards, a seller long as the lender allows the "gift" to be unsourced, and as long as you can easily turn the credit into cash.  That seems to be the biggest hang up for using this method to buy homes.  Does anyone have insight on how to cash out?  Then gold sounded like it didn't  work....other options?

I'll try to make it.  I'm

North of philly in Montgomery county.  My buddy is opening a brewery this summer.  Maybe you can give some insight.  

I don't know if it's a bad deal or not, that's why I'm asking other investors to chime in and tell us their experience over a longer sample size. Cody L. I'd beg to differ with the statement " you will make money". Investing has its risks. Especially in this sellers market with inflated prices. What happens if it decreases in value? What happens if the tenants causes 10k in damage. That's 4 years of cash flow gone . I'm not saying this will all happen. I only hope for the best for him. But hoping won't do anything. And to say he will make money is a pretty bold statement, unless you have experience in this method, do you? I'm not being negative. I'm just being real. I'd love to hear all the success stories from others who have made great money doing the same. I would agree with that fact that you took action. That's a great first step. Even if it' a loser it could be the start to a very successful career. So I'm not questions the move at all, I applaud the OP for doing so, im looking for anyone with long term and scalable data on its success.

Caleb Heimsoth how old are you? I think you need to be 18 to get a credit card, but you may also be able start earlier as an authorized user on a parents card or account. It's never "too soon" to start building credit though once your turn 18. Like I said credit is built by using and repaying it on time. I always advise the first place to start is by getting a card where you normally get gas. They'll probably start you off with a $250-300 spending limit at first. That should be plenty. Simply use the card to buy your gas instead of s debit card like you normally would. Then pay the card off in full every month. Bingo, you have established a credit profile. The longer the card is open, and the more time that passes with you paying it ON TIME to ( preferably in full so you don't pay financing charges, but not required to keep building good credit. The on time part is the key. 1 late payment will set you back greatly. I can't stress this enough. Sharon Tippett credit scores do not go below 450. You either have "no credit profile" or a credit score based on your credit history. To be honest if you recently opened a card and have paid it on time, every time since it was opened, your score should not be that low. You need to pull a free credit report to make sure nothing is on their that is negatively affecting your score. It could be an old cable bill you never even knew about just siting in collections and pulling your score down. As I mentioned before, Iv had buyer clients come to me with zero accounts opened, and within 60 days they were qualified to buy a home with a credit score in the mid 600s. You'll also need different "types" of credit, but in an attempt to keep this short I'll summarize. Credit cards are one type, also known as revolving. Loans would be another type also know as installment, where the payment stays the same each month. The second major factor on your credit score aside from always paying on time is you need to build a large amount of available credit. This simply means the limit on the card. This does not mean you need to use the limit, nor should you unless you plan to pay it in full at the end of the month. The amount you use is not the important part. You can buy a pack of gum every month, and pay it off, and over time your score will increase. Lastly you want to keep the balances on your cards below 50% of the limits. This becomes easier as your limits are increased, or as you open more cards. Just use the cards in place of cash, and then use the cash to pay off the card. Do not substitute the card for cash if you do not have the cash to pay it off, or don't have income coming in that will pay it off at the ends of the month. As time passes, you can ask each credit card to increase the limit and as long as you have been paying on time, and have low or no balances, they will likely increase the limit. Iv seen clients accumulate $80,000 in credit limits, with zero balances, in about a years time. It's not hard, as long as you understand credit and how to use it to your advantage. I'll end with, make sure the cards are free, or small annual fees. Interest rate should be low, but it also shouldn't matter since we are paying them off in full each month anyway. Best of luck bringing that score up. My guess is there is an account in collections or you were late on a payment, otherwise the score would be higher. Maybe another time I'll get into how to rebuild credit once you've made some mistakes like missed payments.